Answer:
A). 17.13 %
Explanation:
Given that,
Annual Dividend for the first year = $.58,
Annual Dividend for the second year = $.66
Annual Dividend for the third year = $.72
Annual Dividend for the fourth year = $.75
The current price per share = $10.08
To find;
The cost of equity = ?
Procedure:
(0.66 - 0.58)/0.58 = 0.137931034
(0.72 - 0.66)/0.66 = 0. 0909090909
(0.75 - 0.72)/0.72 = 0.0416666667
g = (0.137931034 + 0. 0909090909 + 0.0416666667)/3
= 0.0901689305
= {(0.75 * 1.0901689305)/10.08} + 0.0901689305
= 0.17128269
∵ 17.13% is the cost of equity.
Answer:
The correct option is D,cannot be determined from the data provided
Explanation:
Break-even points in units=fixed costs/contribution margin per unit
Contribution margin per unit =selling price -variable cost
In other words, from the scenario, it is clear that the numerator fixed costs has increased and also a reduction in variable cost per unit implies an increase in contribution margin per unit since a lesser variable cost is being deducted from selling price.
The impact of both increases in fixed costs and contribution margin cannot be determined except if more details is provided which will give further guidance regarding which of the two increased at a higher rate compared to the other.
Answer:
Hmm.
Explanation:
<em>Problems making ends meet</em>
<em>Accumulating too much debt. </em>
<em>Making poor purchasing and investing decisions. </em>
<em>Being unable to enjoy money.</em>
<em />
<em>(Source; USATODAY.com)</em>
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Answer:
$6,424
.06
Explanation:
Present value (PV): $5,000
Rate: 5.14% per annual
Tenor: 5 years
The amount of money accrued at the end of 5 years is the future value (FV) of investment
FV = PV * (1+rate)^tenor
= $5,000 *(1+5.14%)^5
= $6,424
.06